Dentsu GroupFRA:DEN 69 Operating Margin % is 10.88% as of Mar. 2026, which is 3% above its 10-year median of 10.58. GuruFocus rates FRA:DEN with a GF Score™ of 69/100 and a GF Value™ of €22.12. The stock has 5 warning signs investors should review. Among 1,023 Media - Diversified companies, Dentsu Group ranks better than 76.44% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. Dentsu Group's Operating Income for the
three
months ended in Mar. 2026 was €212 Mil. Dentsu Group's Revenue for the
three
months ended in Mar. 2026 was €1,947 Mil. Therefore, Dentsu Group's Operating Margin % for the quarter that ended in Mar. 2026 was 10.88%.
Warning Sign:
Dentsu Group Inc operating margin has been in a 5-year decline. The average rate of decline per year is -2.6%.
The historical rank and industry rank for Dentsu Group's Operating Margin % or its related term are showing as below:
FRA:DEN'
s Operating Margin % Range Over the Past 10 Years
Min: 8.57 Med: 10.58 Max: 16.42
Current: 10.89
FRA:DEN's Operating Margin % is ranked better than 76.44% of 1023
companies
in the Media - Diversified industry
Industry Median: 2.51
vs FRA:DEN: 10.89
Dentsu Group's 5-Year Average Operating Margin % Growth Rate was -2.60% per year.
Dentsu Group's Operating Income for the
three
months ended in Mar. 2026 was €212 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was €887 Mil.
Dentsu Group (FRA:DEN) Operating Margin % Explanation
Just like Gross Margin %, it is important to see a company maintains its operating margin over time. Among the same industry, a company with higher operating margin is more efficient in its operation. It is also more stable during industry slowdown or recessions. Peter Lynch prefers those with higher margins than those with lower margins.
Be Aware
Operating Margin % can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).
If a company is facing competition, its Operating Margin % may decline. Often the Operating Margin % declines well before the company's Revenue or even profit decline. Therefore, Operating Margin % is a very important indicator of whether the company is facing problems.
For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokias Operating Margin % had already been in decline since 2002, although its Earnings per Share (Diluted) were still rising. Investors who paid attention to Operating Margin % would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).
Therefore, Operating Margin % is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.
Dentsu Group Operating Margin % Related Terms
Dentsu Group Operating Margin % Historical Data
* Premium members only.
The historical data trend for Dentsu Group's Operating Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
FRA:DEN vs APP, OMC, TTD: Operating Margin % Comparison
For the Advertising Agencies subindustry, Dentsu Group's Operating Margin %, along with its competitors' market caps and Operating Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Dentsu Group Operating Margin % vs Media - Diversified Industry
For the Media - Diversified industry and Communication Services sector, Dentsu Group's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Dentsu Group's Operating Margin % falls into.
Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.
Dentsu Group's Operating Margin % for the fiscal year that ended in Dec. 2025 is calculated as
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Dentsu Group (FRA:DEN) has a Operating Margin % of 10.88% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Dentsu Group and its competitors. This is near median its historical median of 10.58. Over the past decade, Dentsu Group's Operating Margin % has ranged from 8.57 to 16.42. According to the industry distribution chart, Dentsu Group ranks #241 out of 1023 companies in the Media - Diversified industry, placing it in the top 23.6%.
Is Dentsu Group's Operating Margin % too high?
Dentsu Group's current Operating Margin % of 10.88% is near median its 10-year median of 10.58. Over the past 10 years, this metric has ranged from a low of 8.57 to a high of 16.42. The Media - Diversified industry median Operating Margin % is 2.51. Dentsu Group's value of 10.88% is 333.5% above this industry median. Based on the distribution chart, Dentsu Group ranks #241 out of 1023 companies in the Media - Diversified industry, which is in the top quartile — a strong position relative to peers. Overall, Dentsu Group has a GF Score™ of 69/100, reflecting its overall financial health beyond just this single metric.
How does Dentsu Group's Operating Margin % compare to APP and OMC?
According to the Media - Diversified industry distribution chart, Dentsu Group ranks #241 out of 1023 companies for Operating Margin %. This places Dentsu Group in the top 24% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 2.51. Dentsu Group's value of 10.88% is 333.5% above this benchmark. Historically, Dentsu Group's own Operating Margin % has ranged from 8.57 to 16.42 over the past decade. While the company's 10-year median is 10.58 vs. the industry median of 2.51, Dentsu Group has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Operating Margin % for a Media - Diversified company?
The median Operating Margin % among Media - Diversified companies is 2.51, based on 1,023 companies in the industry. Companies in the top quartile (top 25%) have a Operating Margin % significantly above this median, while those in the bottom quartile fall well below. However, Operating Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Dentsu Group's current Operating Margin % of 10.88% is 333.5% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Operating Margin % mean?
A high Operating Margin % can signal that a stock is expensive relative to its fundamentals. Operating margin is the ratio of total operating income to net sales. View historical data on Dentsu Group and its competitors. For the Media - Diversified industry, the median Operating Margin % is 2.51 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Dentsu Group's current Operating Margin % is 10.88%, which is near median its own 10-year median of 10.58. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Dentsu Group stock overvalued right now?
Dentsu Group (FRA:DEN) has a current Operating Margin % of 10.88%. The stock's GF Value™ is €22.12, compared to a current price of €15.90 — trading 28.1% below its estimated fair value. The current Operating Margin % is 10.88%, which is near median its 10-year median of 10.58 and 333.5% above the Media - Diversified industry median of 2.51. Dentsu Group's overall GF Score™ is 69/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Operating Margin % calculated?
Operating Margin % is calculated from a company's financial statements. For Dentsu Group (FRA:DEN), the current Operating Margin % is 10.88% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Dentsu Group (FRA:DEN) Overvalued in 2026?
Based on GuruFocus' analysis, Dentsu Group stock appears to be undervalued.
The current stock price of €15.90 is trading 28.1% below its estimated GF Value™ of €22.12.
Key valuation signals for FRA:DEN:
Operating Margin %: 10.88% (near median its 10-year median of 10.58)
GF Value™: €22.12 vs. price of €15.90 (28.1% below fair value)
Industry Position: 333.5% above the Media - Diversified median (#241 of 1023)
No single metric tells the full story. See the FRA:DEN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Dentsu Group is the top advertising agency in Japan and the fifth-largest advertising network in the world. It is the oldest advertising agency in Japan, with the original company being established in 1901. Over the years, Dentsu expanded its global footprint through mergers and acquisitions. Currently, international sales account for about 60% of total revenue.
69GF Score
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